2025 Medicare Part D changes and what they mean for employer groups

Anyone wondering what impact the changes to Medicare in 2025 will have on employer groups? If you’re in the group business, now is the time to start thinking about Medicare if you aren’t already.

On January 1, 2025, Medicare Part D plans will have a maximum of $2,000 out of pocket.

What does that mean? It means the employer plans may not be creditable coverage.

What does that mean? It mean that employees over age 65 who do not enroll in some form of creditable coverage will eventually be subjected to penalties when they enroll in Medicare.

And those penalties will continue for the rest of their lives.

What does that mean?

If you’re a group broker:
- think about how to communicate this to your clients and their employees
- consider partnering with a Medicare specialist to help your clients and their employees

If you’re a Medicare broker:
- talk to your employer group brokers about this
- explain the significance of the lifelong penalties to stakeholders

If you or someone you know is turning 65 or currently eligible for Medicare but covers by an employer plan:

- look into your plan details
- talk to an expert